Bitcoin Surges to $94K One Day Ahead of Expected Fed Rate Cut

Market Movement - Bitcoin (BTC) surged back to $94,000, gaining over $3,000 in less than an hour and up 4% over the past 24 hours [1] - Ethereum's ether (ETH) increased by 5% during the same period, while Cardano (ADA) and Chainlink (LINK) saw even larger gains [1] Related Asset Performance - Silver reached record highs above $60 per ounce, while broader equity markets remained flat [2] - Crypto stocks followed Bitcoin's advance, with Galaxy (GLXY) and CleanSpark (CLSK) leading gains of over 10%, and Coinbase (COIN), Strategy (MSTR), and BitMine (BMNR) up 4%-6% [2] Market Sentiment and Analysis - The recent price movement may indicate seller exhaustion, as BTC had been selling off alongside the opening of U.S. markets for weeks [3] - "Deeply defensive" positioning in crypto derivatives markets suggests investor concerns about further weakness, contributing to the rapid price recovery [3] Investor Demand Indicators - The Coinbase bitcoin premium has turned positive, indicating a resurgence in U.S. investor demand [4] - BTC's daily price gain outpaced the rise in open interest on the derivatives market, suggesting that spot demand is driving the rally rather than leverage [5] Economic Context - The Federal Reserve is expected to lower benchmark interest rates by 25 basis points, which could enhance risk appetite in the markets [5]